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/****************************************************  Internet Appendix  ***************************************************************/
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* Set the global path and use the sample dataset from the specified path
global path ""
use "$path/Sample Data.dta", clear

* Set the panel data structure
xtset firm_id year




/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/*************************************Generation of Fixed-Value : Options/Stock/Equity **************************************************/
/***********************************two consecutive years as in Shue and Townsend (2017,JF)**********************************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/


* generate a dummy variable: the stock price change from year t-1 to year t is less than +/-3%
gen stk_prc_chg_in3percent=0
replace stk_prc_chg_in3percent=1 if prcc_f/prcc_f_b1>=0.97 & prcc_f/prcc_f_b1<=1.03  




gen option_fv_ratio=option_fv/l.option_fv
gen stock_fv_ratio=stock_fv/l.stock_fv
gen equity_pay_ratio=equity_pay/l.equity_pay


gen option_fv_ratio2=f.option_fv/option_fv
gen stock_fv_ratio2=f.stock_fv/stock_fv
gen equity_pay_ratio2=f.equity_pay/equity_pay

  




* Type 1: Fixed-Value Option Plans 

gen options_fv_fixed=0
replace options_fv_fixed=1 if option_fv_ratio>=0.97 & option_fv_ratio<=1.03 & option_fv_ratio~=. & option_fv_ratio~=0 & stk_prc_chg_in3percent~=1
replace options_fv_fixed=1 if f.options_fv_fixed==1 & stk_prc_chg_in3percent~=1
replace options_fv_fixed=1 if option_fv_ratio2>=0.97 & option_fv_ratio2<=1.03 & option_fv_ratio2~=. & option_fv_ratio2~=0 & year==2022 & stk_prc_chg_in3percent~=1
replace options_fv_fixed=. if option_fv_ratio==. 



* Type 2: Fixed-Value Stock Plans 

gen stock_fv_fixed=0
replace stock_fv_fixed=1 if stock_fv_ratio>=0.97 & stock_fv_ratio<=1.03 & stock_fv_ratio~=. & stock_fv_ratio~=0 & stk_prc_chg_in3percent~=1
replace stock_fv_fixed=1 if f.stock_fv_fixed==1 & stk_prc_chg_in3percent~=1
replace stock_fv_fixed=1 if stock_fv_ratio2>=0.97 & stock_fv_ratio2<=1.03 & stock_fv_ratio2~=. & stock_fv_ratio2~=0 & year==2022 & stk_prc_chg_in3percent~=1
replace stock_fv_fixed=. if stock_fv_ratio==. 


gen stock_fv_fixed2=0
replace stock_fv_fixed2=1 if stock_fv_ratio>=0.99 & stock_fv_ratio<=1.01 & stock_fv_ratio~=. & stock_fv_ratio~=0 & stk_prc_chg_in3percent~=1
replace stock_fv_fixed2=1 if f.stock_fv_fixed2==1 & stk_prc_chg_in3percent~=1
replace stock_fv_fixed2=1 if stock_fv_ratio2>=0.99 & stock_fv_ratio2<=1.01 & stock_fv_ratio2~=. & stock_fv_ratio2~=0 & year==2022 & stk_prc_chg_in3percent~=1
replace stock_fv_fixed2=. if stock_fv_ratio==. 





* Type 3: Fixed-Value Total Equity Plans 

gen equity_fixed=0
replace equity_fixed=1 if equity_pay_ratio>=0.97 & equity_pay_ratio<=1.03 & equity_pay_ratio~=. & equity_pay_ratio~=0 & stk_prc_chg_in3percent~=1
replace equity_fixed=1 if f.equity_fixed==1 & stk_prc_chg_in3percent~=1
replace equity_fixed=1 if equity_pay_ratio2>=0.97 & equity_pay_ratio2<=1.03 & equity_pay_ratio2~=. & equity_pay_ratio2~=0 & year==2022 & stk_prc_chg_in3percent~=1
replace equity_fixed=. if equity_pay_ratio==. 


gen equity_fixed2=0
replace equity_fixed2=1 if equity_pay_ratio>=0.99 & equity_pay_ratio<=1.01 & equity_pay_ratio~=. & equity_pay_ratio~=0 & stk_prc_chg_in3percent~=1
replace equity_fixed2=1 if f.equity_fixed2==1 & stk_prc_chg_in3percent~=1
replace equity_fixed2=1 if equity_pay_ratio2>=0.99 & equity_pay_ratio2<=1.01 & equity_pay_ratio2~=. & equity_pay_ratio2~=0 & year==2022 & stk_prc_chg_in3percent~=1
replace equity_fixed2=. if equity_pay_ratio==. 





* Any Type of Fixed-Value Plans 
gen Fixed_Value=0
replace Fixed_Value=1 if options_fv_fixed==1 | stock_fv_fixed==1 | equity_fixed==1
replace Fixed_Value=. if options_fv_fixed==. & stock_fv_fixed==. & equity_fixed==.



gen Fixed_Value2=0
replace Fixed_Value2=1 if options_fv_fixed==1 | stock_fv_fixed2==1 | equity_fixed2==1
replace Fixed_Value2=. if options_fv_fixed==. & stock_fv_fixed2==. & equity_fixed2==.
























/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/**************************************************Generation of Preset Structure********************************************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/





* Type 1: Regular Equity to Total Pay Ratio 

gen EquityTDC1_RglProportion=0




gen equity_TDC1_ratio=equity_pay/tdc1 
gen equity_awards_TDC1_ratio=equity_awards/tdc1


forvalues i=1(1)19{
		replace EquityTDC1_RglProportion=1 if equity_TDC1_ratio>=0.995*(0.05*`i') & equity_TDC1_ratio<=1.005*(0.05*`i')
		replace EquityTDC1_RglProportion=1 if equity_awards_TDC1_ratio>=0.995*(0.05*`i') & equity_awards_TDC1_ratio<=1.005*(0.05*`i')
	}


forvalues j=1(1)2{
		replace EquityTDC1_RglProportion=1 if equity_TDC1_ratio>=0.995*(`j'/3) & equity_TDC1_ratio<=1.005*(`j'/3)
		replace EquityTDC1_RglProportion=1 if equity_awards_TDC1_ratio>=0.995*(`j'/3) & equity_awards_TDC1_ratio<=1.005*(`j'/3)
	}
	

replace EquityTDC1_RglProportion=. if equity_pay==. & equity_awards==.	
	




	
* Type 2: Regular Stock or Option Pay Ratio 
	


gen EquityInside_RglProportion=0


* 1. Identified based on AnnualCompensation.Dataset

gen option_equity_fv_ratio=option_fv/equity_pay
gen stock_equity_fv_ratio=stock_fv/equity_pay
gen option_stock_fv_ratio=option_fv/stock_fv
gen stock_option_fv_ratio=stock_fv/option_fv



forvalues i=1(1)19{ 
		replace EquityInside_RglProportion=1 if option_equity_fv_ratio>=0.995*(0.05*`i') & option_equity_fv_ratio<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if stock_equity_fv_ratio>=0.995*(0.05*`i') & stock_equity_fv_ratio<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if stock_option_fv_ratio>=0.995*(0.05*`i') & stock_option_fv_ratio<=1.005*(0.05*`i') 
        replace EquityInside_RglProportion=1 if option_stock_fv_ratio>=0.995*(0.05*`i') & option_stock_fv_ratio<=1.005*(0.05*`i')
	}


	       	
	
forvalues j=1(1)2{
        replace EquityInside_RglProportion=1 if stock_option_fv_ratio>=0.995*(`j'/3) & stock_option_fv_ratio<=1.005*(`j'/3)
        replace EquityInside_RglProportion=1 if option_stock_fv_ratio>=0.995*(`j'/3) & option_stock_fv_ratio<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_equity_fv_ratio>=0.995*(`j'/3) & option_equity_fv_ratio<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if stock_equity_fv_ratio>=0.995*(`j'/3) & stock_equity_fv_ratio<=1.005*(`j'/3) 
	}

	
	
	
	
	
	
	

* 2. Identified based on PlanbasedAwards.Dataset

* options_fv_ttl/max：total/maximum value of option grants
* restrictedstk_fv_ttl/max：total/maximum value of restricted stock grants
* performance_units_fv_ttl/max：total/maximum value of performance unit grants

gen option_rst_ratio1=options_fv_ttl/restrictedstk_fv_ttl
gen option_rst_ratio2=options_fv_ttl/(restrictedstk_fv_ttl+options_fv_ttl)
gen option_psu_ratio1=options_fv_ttl/performance_units_fv_ttl
gen option_psu_ratio2=options_fv_ttl/(performance_units_fv_ttl+options_fv_ttl)
gen option_psu_rst_ratio=options_fv_ttl/(restrictedstk_fv_ttl+performance_units_fv_ttl)
gen option_equity_ratio=options_fv_ttl/(restrictedstk_fv_ttl+performance_units_fv_ttl+options_fv_ttl)
gen rst_option_ratio1=restrictedstk_fv_ttl/options_fv_ttl
gen rst_option_ratio2=restrictedstk_fv_ttl/(options_fv_ttl+restrictedstk_fv_ttl)
gen rst_psu_options_ratio=restrictedstk_fv_ttl/(options_fv_ttl+performance_units_fv_ttl)
gen rst_equity_ratio=restrictedstk_fv_ttl/(restrictedstk_fv_ttl+performance_units_fv_ttl+options_fv_ttl)
gen psu_options_ratio1=performance_units_fv_ttl/options_fv_ttl
gen psu_options_ratio2=performance_units_fv_ttl/(options_fv_ttl+performance_units_fv_ttl)
gen psu_rst_options_ratio=performance_units_fv_ttl/(options_fv_ttl+restrictedstk_fv_ttl)
gen psu_equity_ratio=performance_units_fv_ttl/(restrictedstk_fv_ttl+performance_units_fv_ttl+options_fv_ttl)
gen option_psu_rst_ratio_r=(restrictedstk_fv_ttl+performance_units_fv_ttl)/options_fv_ttl
gen rst_psu_options_ratio_r=(options_fv_ttl+performance_units_fv_ttl)/restrictedstk_fv_ttl
gen psu_rst_options_ratio_r=(options_fv_ttl+restrictedstk_fv_ttl)/performance_units_fv_ttl


     
          
              
forvalues i=1(1)19{
        
		replace EquityInside_RglProportion=1 if option_rst_ratio1>=0.995*(0.05*`i') & option_rst_ratio1<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_rst_ratio2>=0.995*(0.05*`i') & option_rst_ratio2<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_psu_ratio1>=0.995*(0.05*`i') & option_psu_ratio1<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_psu_ratio2>=0.995*(0.05*`i') & option_psu_ratio2<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratio>=0.995*(0.05*`i') & option_psu_rst_ratio<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_equity_ratio>=0.995*(0.05*`i') & option_equity_ratio<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_option_ratio1>=0.995*(0.05*`i') & rst_option_ratio1<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_option_ratio2>=0.995*(0.05*`i') & rst_option_ratio2<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if rst_psu_options_ratio>=0.995*(0.05*`i') & rst_psu_options_ratio<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_equity_ratio>=0.995*(0.05*`i') & rst_equity_ratio<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if psu_options_ratio1>=0.995*(0.05*`i') & psu_options_ratio1<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if psu_options_ratio2>=0.995*(0.05*`i') & psu_options_ratio2<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratio>=0.995*(0.05*`i') & psu_rst_options_ratio<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if psu_equity_ratio>=0.995*(0.05*`i') & psu_equity_ratio<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratio_r>=0.995*(0.05*`i') & option_psu_rst_ratio_r<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_psu_options_ratio_r>=0.995*(0.05*`i') & rst_psu_options_ratio_r<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratio_r>=0.995*(0.05*`i') & psu_rst_options_ratio_r<=1.005*(0.05*`i') 				
		
	}
	

	
    


forvalues j=1(1)2{	
		replace EquityInside_RglProportion=1 if option_rst_ratio1>=0.995*(`j'/3) & option_rst_ratio1<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_rst_ratio2>=0.995*(`j'/3) & option_rst_ratio2<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_psu_ratio1>=0.995*(`j'/3) & option_psu_ratio1<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_psu_ratio2>=0.995*(`j'/3) & option_psu_ratio2<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratio>=0.995*(`j'/3) & option_psu_rst_ratio<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_equity_ratio>=0.995*(`j'/3) & option_equity_ratio<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_option_ratio1>=0.995*(`j'/3) & rst_option_ratio1<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_option_ratio2>=0.995*(`j'/3) & rst_option_ratio2<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if rst_psu_options_ratio>=0.995*(`j'/3) & rst_psu_options_ratio<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_equity_ratio>=0.995*(`j'/3) & rst_equity_ratio<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if psu_options_ratio1>=0.995*(`j'/3) & psu_options_ratio1<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if psu_options_ratio2>=0.995*(`j'/3) & psu_options_ratio2<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratio>=0.995*(`j'/3) & psu_rst_options_ratio<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if psu_equity_ratio>=0.995*(`j'/3) & psu_equity_ratio<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratio_r>=0.995*(`j'/3) & option_psu_rst_ratio_r<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_psu_options_ratio_r>=0.995*(`j'/3) & rst_psu_options_ratio_r<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratio_r>=0.995*(`j'/3) & psu_rst_options_ratio_r<=1.005*(`j'/3) 		
		
	}

	
	
	

	
gen option_rst_ratio1m=options_fv_max/restrictedstk_fv_max
gen option_rst_ratio2m=options_fv_max/(restrictedstk_fv_max+options_fv_max)
gen option_psu_ratio1m=options_fv_max/performance_units_fv_max
gen option_psu_ratio2m=options_fv_max/(performance_units_fv_max+options_fv_max)
gen option_psu_rst_ratiom=options_fv_max/(restrictedstk_fv_max+performance_units_fv_max)
gen option_equity_ratiom=options_fv_max/(restrictedstk_fv_max+performance_units_fv_max+options_fv_max)
gen rst_option_ratio1m=restrictedstk_fv_max/options_fv_max
gen rst_option_ratio2m=restrictedstk_fv_max/(options_fv_max+restrictedstk_fv_max)
gen rst_psu_options_ratiom=restrictedstk_fv_max/(options_fv_max+performance_units_fv_max)
gen rst_equity_ratiom=restrictedstk_fv_max/(restrictedstk_fv_max+performance_units_fv_max+options_fv_max)
gen psu_options_ratio1m=performance_units_fv_max/options_fv_max
gen psu_options_ratio2m=performance_units_fv_max/(options_fv_max+performance_units_fv_max)
gen psu_rst_options_ratiom=performance_units_fv_max/(options_fv_max+restrictedstk_fv_max)
gen psu_equity_ratiom=performance_units_fv_max/(restrictedstk_fv_max+performance_units_fv_max+options_fv_max)
gen option_psu_rst_ratiom_r=(restrictedstk_fv_max+performance_units_fv_max)/options_fv_max
gen rst_psu_options_ratiom_r=(options_fv_max+performance_units_fv_max)/restrictedstk_fv_max
gen psu_rst_options_ratiom_r=(options_fv_max+restrictedstk_fv_max)/performance_units_fv_max




              


forvalues i=1(1)19{
        
		replace EquityInside_RglProportion=1 if option_rst_ratio1m>=0.995*(0.05*`i') & option_rst_ratio1m<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_rst_ratio2m>=0.995*(0.05*`i') & option_rst_ratio2m<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_psu_ratio1m>=0.995*(0.05*`i') & option_psu_ratio1m<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_psu_ratio2m>=0.995*(0.05*`i') & option_psu_ratio2m<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratiom>=0.995*(0.05*`i') & option_psu_rst_ratiom<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if option_equity_ratiom>=0.995*(0.05*`i') & option_equity_ratiom<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_option_ratio1m>=0.995*(0.05*`i') & rst_option_ratio1m<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_option_ratio2m>=0.995*(0.05*`i') & rst_option_ratio2m<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if rst_psu_options_ratiom>=0.995*(0.05*`i') & rst_psu_options_ratiom<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_equity_ratiom>=0.995*(0.05*`i') & rst_equity_ratiom<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if psu_options_ratio1m>=0.995*(0.05*`i') & psu_options_ratio1m<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if psu_options_ratio2m>=0.995*(0.05*`i') & psu_options_ratio2m<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratiom>=0.995*(0.05*`i') & psu_rst_options_ratiom<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if psu_equity_ratiom>=0.995*(0.05*`i') & psu_equity_ratiom<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratiom_r>=0.995*(0.05*`i') & option_psu_rst_ratiom_r<=1.005*(0.05*`i') 
		replace EquityInside_RglProportion=1 if rst_psu_options_ratiom_r>=0.995*(0.05*`i') & rst_psu_options_ratiom_r<=1.005*(0.05*`i') 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratiom_r>=0.995*(0.05*`i') & psu_rst_options_ratiom_r<=1.005*(0.05*`i') 				
		
	}


	
	
forvalues j=1(1)2{	
		replace EquityInside_RglProportion=1 if option_rst_ratio1m>=0.995*(`j'/3) & option_rst_ratio1m<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_rst_ratio2m>=0.995*(`j'/3) & option_rst_ratio2m<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_psu_ratio1m>=0.995*(`j'/3) & option_psu_ratio1m<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_psu_ratio2m>=0.995*(`j'/3) & option_psu_ratio2m<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratiom>=0.995*(`j'/3) & option_psu_rst_ratiom<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if option_equity_ratiom>=0.995*(`j'/3) & option_equity_ratiom<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_option_ratio1m>=0.995*(`j'/3) & rst_option_ratio1m<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_option_ratio2m>=0.995*(`j'/3) & rst_option_ratio2m<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if rst_psu_options_ratiom>=0.995*(`j'/3) & rst_psu_options_ratiom<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_equity_ratiom>=0.995*(`j'/3) & rst_equity_ratiom<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if psu_options_ratio1m>=0.995*(`j'/3) & psu_options_ratio1m<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if psu_options_ratio2m>=0.995*(`j'/3) & psu_options_ratio2m<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratiom>=0.995*(`j'/3) & psu_rst_options_ratiom<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if psu_equity_ratiom>=0.995*(`j'/3) & psu_equity_ratiom<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if option_psu_rst_ratiom_r>=0.995*(`j'/3) & option_psu_rst_ratiom_r<=1.005*(`j'/3) 
		replace EquityInside_RglProportion=1 if rst_psu_options_ratiom_r>=0.995*(`j'/3) & rst_psu_options_ratiom_r<=1.005*(`j'/3) 		
		replace EquityInside_RglProportion=1 if psu_rst_options_ratiom_r>=0.995*(`j'/3) & psu_rst_options_ratiom_r<=1.005*(`j'/3) 		
		
	}

	
	
	
replace EquityInside_RglProportion=. if equity_pay==. 



	
	
	
	

	
	
	
* Type 3: Fixed Pay Ratio	

* 1. Identified based on change of Equity Pay Ratio 

gen equity_TDC1_ratio_chg=equity_TDC1_ratio/l.equity_TDC1_ratio
gen equity_awards_TDC1_ratio_chg=equity_awards_TDC1_ratio/l.equity_awards_TDC1_ratio



gen EquityTDC1_UnchgProportion=0

replace EquityTDC1_UnchgProportion=1 if equity_TDC1_ratio_chg>=0.97 & equity_TDC1_ratio_chg<=1.03 & equity_TDC1_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityTDC1_UnchgProportion=1 if equity_awards_TDC1_ratio_chg>=0.97 & equity_awards_TDC1_ratio_chg<=1.03 & equity_awards_TDC1_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityTDC1_UnchgProportion=. if equity_TDC1_ratio_chg==. & equity_awards_TDC1_ratio_chg==.





* 2. Identified based on change of Stock/Option Pay Ratio 

	

gen option_equity_fv_ratio_chg=option_equity_fv_ratio/l.option_equity_fv_ratio
gen stock_equity_fv_ratio_chg=stock_equity_fv_ratio/l.stock_equity_fv_ratio
gen option_stock_fv_ratio_chg=option_stock_fv_ratio/l.option_stock_fv_ratio
gen stock_option_fv_ratio_chg=stock_option_fv_ratio/l.stock_option_fv_ratio



gen option_rst_ratio1_chg=option_rst_ratio1/l.option_rst_ratio1
gen option_rst_ratio2_chg=option_rst_ratio2/l.option_rst_ratio2
gen option_psu_ratio1_chg=option_psu_ratio1/l.option_psu_ratio1
gen option_psu_ratio2_chg=option_psu_ratio2/l.option_psu_ratio2
gen option_psu_rst_ratio_chg=option_psu_rst_ratio/l.option_psu_rst_ratio
gen option_equity_ratio_chg=option_equity_ratio/l.option_equity_ratio
gen rst_option_ratio1_chg=rst_option_ratio1/l.rst_option_ratio1
gen rst_option_ratio2_chg=rst_option_ratio2/l.rst_option_ratio2
gen rst_psu_options_ratio_chg=rst_psu_options_ratio/l.rst_psu_options_ratio
gen rst_equity_ratio_chg=rst_equity_ratio/l.rst_equity_ratio
gen psu_options_ratio1_chg=psu_options_ratio1/l.psu_options_ratio1
gen psu_options_ratio2_chg=psu_options_ratio2/l.psu_options_ratio2
gen psu_rst_options_ratio_chg=psu_rst_options_ratio/l.psu_rst_options_ratio
gen psu_equity_ratio_chg=psu_equity_ratio/l.psu_equity_ratio
gen option_psu_rst_ratio_r_chg=option_psu_rst_ratio_r/l.option_psu_rst_ratio_r
gen rst_psu_options_ratio_r_chg=rst_psu_options_ratio_r/l.rst_psu_options_ratio_r
gen psu_rst_options_ratio_r_chg=psu_rst_options_ratio_r/l.psu_rst_options_ratio_r



gen option_rst_ratio1m_chg=option_rst_ratio1m/l.option_rst_ratio1m
gen option_rst_ratio2m_chg=option_rst_ratio2m/l.option_rst_ratio2m
gen option_psu_ratio1m_chg=option_psu_ratio1m/l.option_psu_ratio1m
gen option_psu_ratio2m_chg=option_psu_ratio2m/l.option_psu_ratio2m
gen option_psu_rst_ratiom_chg=option_psu_rst_ratiom/l.option_psu_rst_ratiom
gen option_equity_ratiom_chg=option_equity_ratiom/l.option_equity_ratiom
gen rst_option_ratio1m_chg=rst_option_ratio1m/l.rst_option_ratio1m
gen rst_option_ratio2m_chg=rst_option_ratio2m/l.rst_option_ratio2m
gen rst_psu_options_ratiom_chg=rst_psu_options_ratiom/l.rst_psu_options_ratiom
gen rst_equity_ratiom_chg=rst_equity_ratiom/l.rst_equity_ratiom
gen psu_options_ratio1m_chg=psu_options_ratio1m/l.psu_options_ratio1m
gen psu_options_ratio2m_chg=psu_options_ratio2m/l.psu_options_ratio2m
gen psu_rst_options_ratiom_chg=psu_rst_options_ratiom/l.psu_rst_options_ratiom
gen psu_equity_ratiom_chg=psu_equity_ratiom/l.psu_equity_ratiom
gen option_psu_rst_ratiom_r_chg=option_psu_rst_ratiom_r/l.option_psu_rst_ratiom_r
gen rst_psu_options_ratiom_r_chg=rst_psu_options_ratiom_r/l.rst_psu_options_ratiom_r
gen psu_rst_options_ratiom_r_chg=psu_rst_options_ratiom_r/l.psu_rst_options_ratiom_r






gen EquityInside_UnchgProportion=0


replace EquityInside_UnchgProportion=1 if option_equity_fv_ratio_chg>=0.97 & option_equity_fv_ratio_chg<=1.03 & option_equity_fv_ratio_chg~=. & option_fv~=0 & stock_fv~=0  & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if stock_equity_fv_ratio_chg>=0.97 & stock_equity_fv_ratio_chg<=1.03 & stock_equity_fv_ratio_chg~=. & option_fv~=0 & stock_fv~=0 & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_stock_fv_ratio_chg>=0.97 & option_stock_fv_ratio_chg<=1.03 & option_stock_fv_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if stock_option_fv_ratio_chg>=0.97 & stock_option_fv_ratio_chg<=1.03 & stock_option_fv_ratio_chg~=. & stk_prc_chg_in3percent~=1

replace EquityInside_UnchgProportion=1 if option_rst_ratio1_chg>=0.97 & option_rst_ratio1_chg<=1.03 & option_rst_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_rst_ratio2_chg>=0.97 & option_rst_ratio2_chg<=1.03 & option_rst_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_ratio1_chg>=0.97 & option_psu_ratio1_chg<=1.03 & option_psu_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_ratio2_chg>=0.97 & option_psu_ratio2_chg<=1.03 & option_psu_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_rst_ratio_chg>=0.97 & option_psu_rst_ratio_chg<=1.03 & option_psu_rst_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_equity_ratio_chg>=0.97 & option_equity_ratio_chg<=1.03 & option_equity_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_option_ratio1_chg>=0.97 & rst_option_ratio1_chg<=1.03 & rst_option_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_option_ratio2_chg>=0.97 & rst_option_ratio2_chg<=1.03 & rst_option_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_psu_options_ratio_chg>=0.97 & rst_psu_options_ratio_chg<=1.03 & rst_psu_options_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_equity_ratio_chg>=0.97 & rst_equity_ratio_chg<=1.03 & rst_equity_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_options_ratio1_chg>=0.97 & psu_options_ratio1_chg<=1.03 & psu_options_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_options_ratio2_chg>=0.97 & psu_options_ratio2_chg<=1.03 & psu_options_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_rst_options_ratio_chg>=0.97 & psu_rst_options_ratio_chg<=1.03 & psu_rst_options_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_equity_ratio_chg>=0.97 & psu_equity_ratio_chg<=1.03 & psu_equity_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_rst_ratio_r_chg>=0.97 & option_psu_rst_ratio_r_chg<=1.03 & option_psu_rst_ratio_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_psu_options_ratio_r_chg>=0.97 & rst_psu_options_ratio_r_chg<=1.03 & rst_psu_options_ratio_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_rst_options_ratio_r_chg>=0.97 & psu_rst_options_ratio_r_chg<=1.03 & psu_rst_options_ratio_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_rst_ratio1m_chg>=0.97 & option_rst_ratio1m_chg<=1.03 & option_rst_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_rst_ratio2m_chg>=0.97 & option_rst_ratio2m_chg<=1.03 & option_rst_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_ratio1m_chg>=0.97 & option_psu_ratio1m_chg<=1.03 & option_psu_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_ratio2m_chg>=0.97 & option_psu_ratio2m_chg<=1.03 & option_psu_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_rst_ratiom_chg>=0.97 & option_psu_rst_ratiom_chg<=1.03 & option_psu_rst_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_equity_ratiom_chg>=0.97 & option_equity_ratiom_chg<=1.03 & option_equity_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_option_ratio1m_chg>=0.97 & rst_option_ratio1m_chg<=1.03 & rst_option_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_option_ratio2m_chg>=0.97 & rst_option_ratio2m_chg<=1.03 & rst_option_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_psu_options_ratiom_chg>=0.97 & rst_psu_options_ratiom_chg<=1.03 & rst_psu_options_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_equity_ratiom_chg>=0.97 & rst_equity_ratiom_chg<=1.03 & rst_equity_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_options_ratio1m_chg>=0.97 & psu_options_ratio1m_chg<=1.03 & psu_options_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_options_ratio2m_chg>=0.97 & psu_options_ratio2m_chg<=1.03 & psu_options_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_rst_options_ratiom_chg>=0.97 & psu_rst_options_ratiom_chg<=1.03 & psu_rst_options_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_equity_ratiom_chg>=0.97 & psu_equity_ratiom_chg<=1.03 & psu_equity_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if option_psu_rst_ratiom_r_chg>=0.97 & option_psu_rst_ratiom_r_chg<=1.03 & option_psu_rst_ratiom_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if rst_psu_options_ratiom_r_chg>=0.97 & rst_psu_options_ratiom_r_chg<=1.03 & rst_psu_options_ratiom_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion=1 if psu_rst_options_ratiom_r_chg>=0.97 & psu_rst_options_ratiom_r_chg<=1.03 & psu_rst_options_ratiom_r_chg~=. & stk_prc_chg_in3percent~=1

replace EquityInside_UnchgProportion=. if equity_pay==.






gen EquityTDC1_UnchgProportion2=0

replace EquityTDC1_UnchgProportion2=1 if equity_TDC1_ratio_chg>=0.99 & equity_TDC1_ratio_chg<=1.01 & equity_TDC1_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityTDC1_UnchgProportion2=1 if equity_awards_TDC1_ratio_chg>=0.99 & equity_awards_TDC1_ratio_chg<=1.01 & equity_awards_TDC1_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityTDC1_UnchgProportion2=. if equity_TDC1_ratio_chg==. & equity_awards_TDC1_ratio_chg==.




gen EquityInside_UnchgProportion2=0

replace EquityInside_UnchgProportion2=1 if option_equity_fv_ratio_chg>=0.99 & option_equity_fv_ratio_chg<=1.01 & option_equity_fv_ratio_chg~=. & option_fv~=0 & stock_fv~=0  & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if stock_equity_fv_ratio_chg>=0.99 & stock_equity_fv_ratio_chg<=1.01 & stock_equity_fv_ratio_chg~=. & option_fv~=0 & stock_fv~=0 & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_stock_fv_ratio_chg>=0.99 & option_stock_fv_ratio_chg<=1.01 & option_stock_fv_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if stock_option_fv_ratio_chg>=0.99 & stock_option_fv_ratio_chg<=1.01 & stock_option_fv_ratio_chg~=. & stk_prc_chg_in3percent~=1

replace EquityInside_UnchgProportion2=1 if option_rst_ratio1_chg>=0.99 & option_rst_ratio1_chg<=1.01 & option_rst_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_rst_ratio2_chg>=0.99 & option_rst_ratio2_chg<=1.01 & option_rst_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_ratio1_chg>=0.99 & option_psu_ratio1_chg<=1.01 & option_psu_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_ratio2_chg>=0.99 & option_psu_ratio2_chg<=1.01 & option_psu_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_rst_ratio_chg>=0.99 & option_psu_rst_ratio_chg<=1.01 & option_psu_rst_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_equity_ratio_chg>=0.99 & option_equity_ratio_chg<=1.01 & option_equity_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_option_ratio1_chg>=0.99 & rst_option_ratio1_chg<=1.01 & rst_option_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_option_ratio2_chg>=0.99 & rst_option_ratio2_chg<=1.01 & rst_option_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_psu_options_ratio_chg>=0.99 & rst_psu_options_ratio_chg<=1.01 & rst_psu_options_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_equity_ratio_chg>=0.99 & rst_equity_ratio_chg<=1.01 & rst_equity_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_options_ratio1_chg>=0.99 & psu_options_ratio1_chg<=1.01 & psu_options_ratio1_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_options_ratio2_chg>=0.99 & psu_options_ratio2_chg<=1.01 & psu_options_ratio2_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_rst_options_ratio_chg>=0.99 & psu_rst_options_ratio_chg<=1.01 & psu_rst_options_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_equity_ratio_chg>=0.99 & psu_equity_ratio_chg<=1.01 & psu_equity_ratio_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_rst_ratio_r_chg>=0.99 & option_psu_rst_ratio_r_chg<=1.01 & option_psu_rst_ratio_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_psu_options_ratio_r_chg>=0.99 & rst_psu_options_ratio_r_chg<=1.01 & rst_psu_options_ratio_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_rst_options_ratio_r_chg>=0.99 & psu_rst_options_ratio_r_chg<=1.01 & psu_rst_options_ratio_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_rst_ratio1m_chg>=0.99 & option_rst_ratio1m_chg<=1.01 & option_rst_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_rst_ratio2m_chg>=0.99 & option_rst_ratio2m_chg<=1.01 & option_rst_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_ratio1m_chg>=0.99 & option_psu_ratio1m_chg<=1.01 & option_psu_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_ratio2m_chg>=0.99 & option_psu_ratio2m_chg<=1.01 & option_psu_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_rst_ratiom_chg>=0.99 & option_psu_rst_ratiom_chg<=1.01 & option_psu_rst_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_equity_ratiom_chg>=0.99 & option_equity_ratiom_chg<=1.01 & option_equity_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_option_ratio1m_chg>=0.99 & rst_option_ratio1m_chg<=1.01 & rst_option_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_option_ratio2m_chg>=0.99 & rst_option_ratio2m_chg<=1.01 & rst_option_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_psu_options_ratiom_chg>=0.99 & rst_psu_options_ratiom_chg<=1.01 & rst_psu_options_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_equity_ratiom_chg>=0.99 & rst_equity_ratiom_chg<=1.01 & rst_equity_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_options_ratio1m_chg>=0.99 & psu_options_ratio1m_chg<=1.01 & psu_options_ratio1m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_options_ratio2m_chg>=0.99 & psu_options_ratio2m_chg<=1.01 & psu_options_ratio2m_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_rst_options_ratiom_chg>=0.99 & psu_rst_options_ratiom_chg<=1.01 & psu_rst_options_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_equity_ratiom_chg>=0.99 & psu_equity_ratiom_chg<=1.01 & psu_equity_ratiom_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if option_psu_rst_ratiom_r_chg>=0.99 & option_psu_rst_ratiom_r_chg<=1.01 & option_psu_rst_ratiom_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if rst_psu_options_ratiom_r_chg>=0.99 & rst_psu_options_ratiom_r_chg<=1.01 & rst_psu_options_ratiom_r_chg~=. & stk_prc_chg_in3percent~=1
replace EquityInside_UnchgProportion2=1 if psu_rst_options_ratiom_r_chg>=0.99 & psu_rst_options_ratiom_r_chg<=1.01 & psu_rst_options_ratiom_r_chg~=. & stk_prc_chg_in3percent~=1

replace EquityInside_UnchgProportion2=. if equity_pay==.












gen FixPayRatio=0
replace FixPayRatio=1 if EquityTDC1_UnchgProportion==1
replace FixPayRatio=1 if EquityInside_UnchgProportion==1
replace FixPayRatio=. if EquityTDC1_UnchgProportion==. & EquityInside_UnchgProportion==.


gen FixPayRatio2=0
replace FixPayRatio2=1 if EquityInside_UnchgProportion2==1
replace FixPayRatio2=1 if EquityTDC1_UnchgProportion2==1
replace FixPayRatio2=. if EquityInside_UnchgProportion2==. &  EquityTDC1_UnchgProportion2==.







* Any Type of Preset-Structure Plans

gen Preset_Structure=0
replace Preset_Structure=1 if EquityTDC1_RglProportion==1
replace Preset_Structure=1 if EquityInside_RglProportion==1
replace Preset_Structure=1 if FixPayRatio==1
replace Preset_Structure=. if EquityTDC1_RglProportion==. & EquityInside_RglProportion==. & FixPayRatio==.



gen Preset_Structure2=0
replace Preset_Structure2=1 if EquityTDC1_RglProportion==1
replace Preset_Structure2=1 if EquityInside_RglProportion==1
replace Preset_Structure2=1 if FixPayRatio2==1
replace Preset_Structure2=. if EquityTDC1_RglProportion==. & EquityInside_RglProportion==. & FixPayRatio2==.









	
	
	
	
	




/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/******************************************************Generation of Pay-Tracking********************************************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/




* Type 1: Total Pay Tracking

gen tdc1_peer_exact=tdc1_peer50
replace tdc1_peer_exact=benchmark_min_ptdc1 if benchmark_min_ptdc1~=. & benchmark_max_ptdc1==.
replace tdc1_peer_exact=benchmark_max_ptdc1 if benchmark_min_ptdc1==. & benchmark_max_ptdc1~=.
replace tdc1_peer_exact=(benchmark_min_ptdc1+benchmark_max_ptdc1)/2 if benchmark_min_ptdc1~=. & benchmark_max_ptdc1~=.



gen tdc1_ratio=tdc1/tdc1_yis50_sale150
replace tdc1_ratio=tdc1/tdc1_peer_exact if tdc1/tdc1_peer_exact~=.

gen TDC1_Tracking_25P=0
replace TDC1_Tracking_25P=1 if tdc1_ratio>=0.75 & tdc1_ratio<=1.25
replace TDC1_Tracking_25P=. if tdc1_ratio==.




* Type 2: Equity Pay Tracking
	

gen equity_peer_exact=equity_pay_peer50
replace equity_peer_exact=benchmark_min_pequity if benchmark_min_pequity~=. & benchmark_max_pequity==.
replace equity_peer_exact=benchmark_max_pequity if benchmark_min_pequity==. & benchmark_max_pequity~=.
replace equity_peer_exact=(benchmark_min_pequity+benchmark_max_pequity)/2 if benchmark_min_pequity~=. & benchmark_max_pequity~=.

gen options_peer_exact=option_fv_peer50
replace options_peer_exact=benchmark_min_poptions if benchmark_min_poptions~=. & benchmark_max_poptions==.
replace options_peer_exact=benchmark_max_poptions if benchmark_min_poptions==. & benchmark_max_poptions~=.
replace options_peer_exact=(benchmark_min_poptions+benchmark_max_poptions)/2 if benchmark_min_poptions~=. & benchmark_max_poptions~=.


gen stock_peer_exact=stock_fv_peer50
replace stock_peer_exact=benchmark_min_pstock if benchmark_min_pstock~=. & benchmark_max_pstock==.
replace stock_peer_exact=benchmark_max_pstock if benchmark_min_pstock==. & benchmark_max_pstock~=.
replace stock_peer_exact=(benchmark_min_pstock+benchmark_max_pstock)/2 if benchmark_min_pstock~=. & benchmark_max_pstock~=.








gen equity_ratio=equity_pay/equity_yis50_sale150
replace equity_ratio=equity_pay/equity_peer_exact if equity_pay/equity_peer_exact~=.

gen options_ratio=option_fv/options_yis50_sale150
replace options_ratio=option_fv/options_peer_exact if option_fv/options_peer_exact~=.


gen stock_ratio=stock_fv/stock_yis50_sale150
replace stock_ratio=stock_fv/stock_peer_exact if stock_fv/stock_peer_exact~=.





gen EquityPay_Tracking_25P=0
replace EquityPay_Tracking_25P=1 if equity_ratio>=0.75 & equity_ratio<=1.25
replace EquityPay_Tracking_25P=. if equity_ratio==.

gen Options_Tracking_25P=0
replace Options_Tracking_25P=1 if options_ratio>=0.75 & options_ratio<=1.25
replace Options_Tracking_25P=. if options_ratio==.

gen Stock_Tracking_25P=0
replace Stock_Tracking_25P=1 if stock_ratio>=0.75 & stock_ratio<=1.25
replace Stock_Tracking_25P=. if stock_ratio==.

gen Equity_Tracking_25P=0
replace Equity_Tracking_25P=1 if EquityPay_Tracking_25P==1 | Options_Tracking_25P==1 | Stock_Tracking_25P==1
replace Equity_Tracking_25P=. if EquityPay_Tracking_25P==. & Options_Tracking_25P==. & Stock_Tracking_25P==.












* Type 3: Fixed Tracking

gen TDC1_Tracking_Fixed=.
replace TDC1_Tracking_Fixed=0 if l.tdc1_ratio~=. & tdc1_ratio~=.
replace TDC1_Tracking_Fixed=1 if tdc1_ratio/l.tdc1_ratio>=0.97 & tdc1_ratio/l.tdc1_ratio<=1.03 & tdc1_ratio~=. & tdc1_ratio~=0 & l.tdc1_ratio~=. & l.tdc1_ratio~=0 & stk_prc_chg_in3percent~=1

gen TDC1_Tracking_Fixed2=.
replace TDC1_Tracking_Fixed2=0 if l.tdc1_ratio~=. & tdc1_ratio~=.
replace TDC1_Tracking_Fixed2=1 if tdc1_ratio/l.tdc1_ratio>=0.99 & tdc1_ratio/l.tdc1_ratio<=1.01 & tdc1_ratio~=. & tdc1_ratio~=0 & l.tdc1_ratio~=. & l.tdc1_ratio~=0 & stk_prc_chg_in3percent~=1




gen EquityPay_Tracking_Fixed=.
replace EquityPay_Tracking_Fixed=0 if l.equity_ratio~=. & equity_ratio~=.
replace EquityPay_Tracking_Fixed=1 if equity_ratio/l.equity_ratio>=0.97 & equity_ratio/l.equity_ratio<=1.03 & equity_ratio~=. & equity_ratio~=0 & l.equity_ratio~=. & l.equity_ratio~=0 & stk_prc_chg_in3percent~=1

gen EquityPay_Tracking_Fixed2=.
replace EquityPay_Tracking_Fixed2=0 if l.equity_ratio~=. & equity_ratio~=.
replace EquityPay_Tracking_Fixed2=1 if equity_ratio/l.equity_ratio>=0.99 & equity_ratio/l.equity_ratio<=1.01 & equity_ratio~=. & equity_ratio~=0 & l.equity_ratio~=. & l.equity_ratio~=0 & stk_prc_chg_in3percent~=1






gen Options_Tracking_Fixed=.
replace Options_Tracking_Fixed=0 if l.options_ratio~=. & options_ratio~=.
replace Options_Tracking_Fixed=1 if options_ratio/l.options_ratio>=0.97 & options_ratio/l.options_ratio<=1.03 & options_ratio~=. & options_ratio~=0 & l.options_ratio~=. & options_ratio~=0 & stk_prc_chg_in3percent~=1
gen Options_Tracking_Fixed2=.
replace Options_Tracking_Fixed2=0 if l.options_ratio~=. & options_ratio~=.
replace Options_Tracking_Fixed2=1 if options_ratio/l.options_ratio>=0.99 & options_ratio/l.options_ratio<=1.01 & options_ratio~=. & options_ratio~=0 & l.options_ratio~=. & options_ratio~=0 & stk_prc_chg_in3percent~=1






gen Stocks_Tracking_Fixed=.
replace Stocks_Tracking_Fixed=0 if l.stock_ratio~=. & stock_ratio~=.
replace Stocks_Tracking_Fixed=1 if stock_ratio/l.stock_ratio>=0.97 & stock_ratio/l.stock_ratio<=1.03 & stock_ratio~=. & stock_ratio~=0 & l.stock_ratio~=. & l.stock_ratio~=0 & stk_prc_chg_in3percent~=1
gen Stocks_Tracking_Fixed2=.
replace Stocks_Tracking_Fixed2=0 if l.stock_ratio~=. & stock_ratio~=.
replace Stocks_Tracking_Fixed2=1 if stock_ratio/l.stock_ratio>=0.99 & stock_ratio/l.stock_ratio<=1.01 & stock_ratio~=. & stock_ratio~=0 & l.stock_ratio~=. & l.stock_ratio~=0 & stk_prc_chg_in3percent~=1




gen Fixed_Tracking=0
replace Fixed_Tracking=1 if TDC1_Tracking_Fixed==1 | EquityPay_Tracking_Fixed==1 | Options_Tracking_Fixed==1 | Stocks_Tracking_Fixed==1
replace Fixed_Tracking=. if TDC1_Tracking_Fixed==. & EquityPay_Tracking_Fixed==. & Options_Tracking_Fixed==. & Stocks_Tracking_Fixed==.
gen Fixed_Tracking2=0
replace Fixed_Tracking2=1 if TDC1_Tracking_Fixed2==1 | EquityPay_Tracking_Fixed2==1 | Options_Tracking_Fixed2==1 | Stocks_Tracking_Fixed2==1
replace Fixed_Tracking2=. if TDC1_Tracking_Fixed2==. & EquityPay_Tracking_Fixed2==. & Options_Tracking_Fixed2==. & Stocks_Tracking_Fixed2==.





* Any Type of Pay-Tracking Plans


gen Pay_Tracking=0
replace Pay_Tracking=1 if TDC1_Tracking_25P==1 | Equity_Tracking_25P==1 | Fixed_Tracking==1 
replace Pay_Tracking=. if TDC1_Tracking_25P==. & Equity_Tracking_25P==. & Fixed_Tracking==.


gen Pay_Tracking2=0
replace Pay_Tracking2=1 if TDC1_Tracking_25P==1 | Equity_Tracking_25P==1 | Fixed_Tracking2==1 
replace Pay_Tracking2=. if TDC1_Tracking_25P==. & Equity_Tracking_25P==. & Fixed_Tracking2==.


 
 
 
 



 
 
/********************************************************************************************************************************/
/********************************************************************************************************************************/
/****************************************** Generation of Value-Based Practice **************************************************/
/********************************************************************************************************************************/
/********************************************************************************************************************************/

gen Value_Based=0
replace Value_Based=1 if Fixed_Value==1 | Preset_Structure==1 | Pay_Tracking==1 
replace Value_Based=. if Fixed_Value==. & Preset_Structure==. & Pay_Tracking==.


gen Value_Based2=0
replace Value_Based2=1 if Fixed_Value2==1 | Preset_Structure2==1 | Pay_Tracking2==1 
replace Value_Based2=. if Fixed_Value2==. & Preset_Structure2==. & Pay_Tracking2==.














/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/*****************************    Figure A1  Firms Making (Not Making) Value-Based CEO Equity Grants     ********************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/

logout, save(FigureA1) word replace:tabstat Value_Based,by(year) stats(mean)	








/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/*********************************    Figure A2  Replicating Figure A1 with bandwidth (0.99, 1.01)    ***********************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/


logout, save(FigureA2) word replace:tabstat Value_Based2,by(year) stats(mean)	







/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/*********************  Table A2  Value-Based Equity Grants and the Ex Post Pay-Performance Sensitivity  ********************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/

gen LnMV_Value_Based2=LnMV*Value_Based2
gen LnMV_Fixed_Value2=LnMV*Fixed_Value2
gen LnMV_Preset_Structure2=LnMV*Preset_Structure2
gen LnMV_Pay_Tracking2=LnMV*Pay_Tracking2





global y "LnEquity"
global x "LnMV_Value_Based2 LnMV Value_Based2 TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Value_Based2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA2.xls,replace tstat bdec(4) tdec(2) adjr2 ctitle(LnEquity) keep($x) addtext(Year FE, Yes, Firm FE, Yes)
global x "LnMV_Fixed_Value2 LnMV Fixed_Value2 TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Fixed_Value2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA2.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(LnEquity) keep($x) addtext(Year FE, Yes, Firm FE, Yes)
global x "LnMV_Preset_Structure2 LnMV Preset_Structure2 TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Preset_Structure2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA2.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(LnEquity) keep($x) addtext(Year FE, Yes, Firm FE, Yes)
global x "LnMV_Pay_Tracking2 LnMV Pay_Tracking2 TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Pay_Tracking2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA2.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(LnEquity) keep($x) addtext(Year FE, Yes, Firm FE, Yes)











/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/*********************  Table A3  Value-Based Equity Grants and the Ex Post Pay-Performance Sensitivity  ********************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/






/************************************************************** Panel A. Option Grants  **************************************************/


gen Ret_bf_Option_Value_Based2=Ret_bf_OptionGrant*Value_Based2
gen Ret_bf_Option_Fixed_Value2=Ret_bf_OptionGrant*options_fv_fixed
gen Ret_bf_Option_Preset_Structure2=Ret_bf_OptionGrant*Preset_Structure2
gen Ret_bf_Option_Pay_Tracking2=Ret_bf_OptionGrant*Pay_Tracking2




global y "Ln_Option_Num"
global x "Ret_bf_Option_Value_Based2 Ret_bf_OptionGrant Value_Based2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Value_Based2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_A.xls,replace tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Option_Num) keep($x) addtext(Year FE, Yes, Firm FE, Yes)

global x "Ret_bf_Option_Fixed_Value2 Ret_bf_OptionGrant options_fv_fixed LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if options_fv_fixed==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_A.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Option_Num) keep($x) addtext(Year FE, Yes, Firm FE, Yes)

global x "Ret_bf_Option_Preset_Structure2 Ret_bf_OptionGrant Preset_Structure2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Preset_Structure2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_A.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Option_Num) keep($x) addtext(Year FE, Yes, Firm FE, Yes)

global x "Ret_bf_Option_Pay_Tracking2 Ret_bf_OptionGrant Pay_Tracking2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Pay_Tracking2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_A.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Option_Num) keep($x) addtext(Year FE, Yes, Firm FE, Yes)







/************************************************************** Panel B. Stock Grants  **************************************************/

gen Ret_bf_Stock_Value_Based2=Ret_bf_StockGrant*Value_Based2
gen Ret_bf_Stock_Fixed_Value2=Ret_bf_StockGrant*stock_fv_fixed2
gen Ret_bf_Stock_Preset_Structure2=Ret_bf_StockGrant*Preset_Structure2
gen Ret_bf_Stock_Pay_Tracking2=Ret_bf_StockGrant*Pay_Tracking2


global y "Ln_Stocks_Num"
global x "Ret_bf_Stock_Value_Based2 Ret_bf_StockGrant Value_Based2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Value_Based2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_B.xls,replace tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Stocks_Num) keep($x) addtext(Year FE, Yes,Firm FE, Yes)

global x "Ret_bf_Stock_Fixed_Value2 Ret_bf_StockGrant stock_fv_fixed2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if stock_fv_fixed2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_B.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Stocks_Num) keep($x) addtext(Year FE, Yes, Firm FE, Yes)

global x "Ret_bf_Stock_Preset_Structure2 Ret_bf_StockGrant Preset_Structure2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Preset_Structure2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_B.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Stocks_Num) keep($x) addtext(Year FE, Yes,Firm FE, Yes)

global x "Ret_bf_Stock_Pay_Tracking2 Ret_bf_StockGrant Pay_Tracking2 LnMV TobinQ Ret_Voliatility Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership CEO_First_Year Inside_CEO"
xi:reghdfe $y $x if Pay_Tracking2==1 | Value_Based2==0, absorb(year firm_id) vce (cluster firm_id)
outreg2 using TableA3_B.xls,append tstat bdec(4) tdec(2) adjr2 ctitle(Ln_Stocks_Num) keep($x) addtext(Year FE, Yes, Firm FE, Yes)













/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/****************************************  Table A4  Seven Proxies for Retention Pressure  **********************************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/



global x "Citation Ln_NetworkSize CID_No Size_Percentile Founder Marketable_Age Buniness_Uniqueness"

global y "Value_Based"
xi:logit $y $x i.sic_2 i.year if Value_Based==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA4.xls,replace tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Value_Based) keep($x) addtext(Ind FE, Yes, Year FE, Yes)

global y "Fixed_Value"
xi:logit $y $x i.sic_2 i.year if Fixed_Value==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA4.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Fixed_Value) keep($x) addtext(Ind FE, Yes, Year FE, Yes)

global y "Preset_Structure"
xi:logit $y $x i.sic_2 i.year if Preset_Structure==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA4.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Preset_Structure) keep($x) addtext(Ind FE, Yes, Year FE, Yes)

global y "Pay_Tracking"
xi:logit $y $x i.sic_2 i.year if Pay_Tracking==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA4.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Pay_Tracking) keep($x) addtext(Ind FE, Yes, Year FE, Yes)









/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/**************************  Table A5 Governance Quality and Value-based Equity Grants: More Details  ***********************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/



/********************************* Panel A. Controlling for the Retention Pressure Score  ************************************************/


global x "Govenance_Quality_Score Retention_Pressure_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO"

global y "Value_Based"
xi:logit $y $x i.sic_2 i.year if Value_Based==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_A.xls,replace tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Value_Based) keep($x) addtext(Ind FE, Yes, Year FE, Yes)

global y "Fixed_Value"
xi:logit $y $x i.sic_2 i.year if Fixed_Value==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_A.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Fixed_Value) keep($x) addtext(Ind FE, Yes, Year FE, Yes)

global y "Preset_Structure"
xi:logit $y $x i.sic_2 i.year if Preset_Structure==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_A.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Preset_Structure) keep($x) addtext(Ind FE, Yes, Year FE, Yes)

global y "Pay_Tracking"
xi:logit $y $x i.sic_2 i.year if Pay_Tracking==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_A.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Pay_Tracking) keep($x) addtext(Ind FE, Yes, Year FE, Yes)










/**************************************** Panel B. Five Proxies for Governance Quality  ************************************************/




global x "Board_Indp_Ratio Board_Busy_Ratio Board_Coopted_Ratio CEO_Chair Inst_Block_Ownership"

global y "Value_Based"
xi:logit $y $x i.sic_2 i.year if Value_Based==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_B.xls,replace tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Value_Based) keep($x) addtext(Ind FE, Yes, Firm FE, No, Year FE, Yes)

global y "Fixed_Value"
xi:logit $y $x i.sic_2 i.year if Fixed_Value==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_B.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Fixed_Value) keep($x) addtext(Ind FE, Yes, Firm FE, No, Year FE, Yes)

global y "Preset_Structure"
xi:logit $y $x i.sic_2 i.year if Preset_Structure==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_B.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Preset_Structure) keep($x) addtext(Ind FE, Yes, Firm FE, No, Year FE, Yes)

global y "Pay_Tracking"
xi:logit $y $x i.sic_2 i.year if Pay_Tracking==1 | Value_Based==0,robust cluster(firm_id)
outreg2 using TableA5_B.xls,append tstat bdec(4) tdec(2) addstat(Pseudo R-squared, `e(r2_p)') ctitle(Pay_Tracking) keep($x) addtext(Ind FE, Yes, Firm FE, No, Year FE, Yes)











/****************************************************************************************************************************************/
/****************************************************************************************************************************************/
/****************************************  Table A6 GMM Regression: Subsample Analysis  *************************************************/
/****************************************************************************************************************************************/
/****************************************************************************************************************************************/

tsset firm_id year

xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if (Value_Based==1 | Value_Based==0) & Retention_Pressure_Score<3 & Retention_Pressure_Score~=., gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(5 6) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA6.xls,replace r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 
xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if (Value_Based==1 | Value_Based==0) & Retention_Pressure_Score>=3 & Retention_Pressure_Score<=5 & Retention_Pressure_Score~=., gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(5 6) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA6.xls,append r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 
xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if (Value_Based==1 | Value_Based==0) & Retention_Pressure_Score>5 & Retention_Pressure_Score~=., gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(5 6) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA6.xls,append r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 




xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if (Value_Based==1 | Value_Based==0) & Retention_Pressure_Score<4 & Retention_Pressure_Score~=., gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(5 6) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA6.xls,append r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 
xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if (Value_Based==1 | Value_Based==0) & Retention_Pressure_Score==4 & Retention_Pressure_Score~=., gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(5 6) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA6.xls,append r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 
xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if (Value_Based==1 | Value_Based==0) & Retention_Pressure_Score>4 & Retention_Pressure_Score~=., gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(5 6) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA6.xls,append r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 











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/************************  Table A7 Robustness Checks:  GMM Regression Analysis of Panel B of Table 10  *********************************/
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/****************************************************************************************************************************************/





tsset firm_id year



/**************** Panel A. Dynamic Panel GMM Regression Analysis Based on 3rd and 4th Lags of Variables As IVs  **************************/



xi: xtabond2 Value_Based l.Value_Based l2.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Value_Based==1 | Value_Based==0, gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(3 4) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_A.xls,replace r2 tstat bdec(4) tdec(2) ctitle(Value_Based) 

xi: xtabond2 Fixed_Value l.Fixed_Value l2.Fixed_Value Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Fixed_Value==1 | Value_Based==0, gmm(Fixed_Value Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(3 4) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_A.xls,append r2 tstat bdec(4) tdec(2) ctitle(Fixed_Value)  

xi: xtabond2 Preset_Structure l.Preset_Structure l2.Preset_Structure Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Preset_Structure==1 | Value_Based==0, gmm(Preset_Structure Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(3 4) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_A.xls,append r2 tstat bdec(4) tdec(2) ctitle(Preset_Structure)  

xi: xtabond2 Pay_Tracking l.Pay_Tracking l2.Pay_Tracking Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Pay_Tracking==1 | Value_Based==0, gmm(Pay_Tracking Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(3 4) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_A.xls,append r2 tstat bdec(4) tdec(2) ctitle(Pay_Tracking) 





/**************** Panel B. Dynamic Panel GMM Regression Analysis Based on 7th and 8th Lags of Variables As IVs  **************************/


xi: xtabond2 Value_Based l.Value_Based l2.Value_Based l3.Value_Based l4.Value_Based l5.Value_Based l6.Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Value_Based==1 | Value_Based==0, gmm(Value_Based Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(7 8) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_B.xls,replace r2 tstat bdec(4) tdec(2) ctitle(Amount_Anchoring) 

xi: xtabond2 Fixed_Value l.Fixed_Value l2.Fixed_Value l3.Fixed_Value l4.Fixed_Value l5.Fixed_Value l6.Fixed_Value Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Fixed_Value==1 | Value_Based==0, gmm(Fixed_Value Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(7 8) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_B.xls,append r2 tstat bdec(4) tdec(2) ctitle(Fixed_Value)  

xi: xtabond2 Preset_Structure l.Preset_Structure l2.Preset_Structure l3.Preset_Structure l4.Preset_Structure l5.Preset_Structure l6.Preset_Structure Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Preset_Structure==1 | Value_Based==0, gmm(Preset_Structure Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(7 8) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_B.xls,append r2 tstat bdec(4) tdec(2) ctitle(Preset_Structure)  

xi: xtabond2 Pay_Tracking l.Pay_Tracking l2.Pay_Tracking l3.Pay_Tracking l4.Pay_Tracking l5.Pay_Tracking l6.Pay_Tracking Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO i.year if Pay_Tracking==1 | Value_Based==0, gmm(Pay_Tracking Govenance_Quality_Score LnMV TobinQ Ret_Voliatility CEO_First_Year Inside_CEO, lag(7 8) collapse) iv(i.year Firm_Age) twostep robust
outreg2 using TableA7_B.xls,append r2 tstat bdec(4) tdec(2) ctitle(Pay_Tracking) 
